Advisers on pension freedoms: 10 findings from huge survey

AKG has issued an extensive report about the pension freedoms in association with insurance giants Standard Life and Prudential.

The conclusions are based on several tranches of data gathered in February and March this year:

Qualitative research among financial planning businesses. A telephone-based research exercise was carried out on behalf of AKG by Widewater Consulting. The research fieldwork included a series of 25 'in-depth' phone interviews, and was undertaken with firms of financial advisers over the four weeks from 12 February 2018.

Citigate Dewe Rogerson also carried out an online market research exercise on AKG's behalf with over 100 financial advisers. The research took place between 6 and 22 March 2018.

Quantitative research among consumers, in the form of an 'online market research exercise' by Consumer Intelligence. The research was carried out on 15 March 2018 and the research sample consisted of 1,082 consumers aged 40 and above.

Click on to read the key conclusions from the questions asked to advisers.

Keep your eyes on our website for the consumer results later.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.

Leave a comment!

AKG has issued an extensive report about the pension freedoms in association with insurance giants Standard Life and Prudential.

The conclusions are based on several tranches of data gathered in February and March this year:

Qualitative research among financial planning businesses. A telephone-based research exercise was carried out on behalf of AKG by Widewater Consulting. The research fieldwork included a series of 25 'in-depth' phone interviews, and was undertaken with firms of financial advisers over the four weeks from 12 February 2018.

Citigate Dewe Rogerson also carried out an online market research exercise on AKG's behalf with over 100 financial advisers. The research took place between 6 and 22 March 2018.

Quantitative research among consumers, in the form of an 'online market research exercise' by Consumer Intelligence. The research was carried out on 15 March 2018 and the research sample consisted of 1,082 consumers aged 40 and above.

Click on to read the key conclusions from the questions asked to advisers.

Keep your eyes on our website for the consumer results later.

The report

AKG has issued an extensive report about the pension freedoms in association with insurance giants Standard Life and Prudential.

The conclusions are based on several tranches of data gathered in February and March this year:

Qualitative research among financial planning businesses. A telephone-based research exercise was carried out on behalf of AKG by Widewater Consulting. The research fieldwork included a series of 25 'in-depth' phone interviews, and was undertaken with firms of financial advisers over the four weeks from 12 February 2018.

Citigate Dewe Rogerson also carried out an online market research exercise on AKG's behalf with over 100 financial advisers. The research took place between 6 and 22 March 2018.

Quantitative research among consumers, in the form of an 'online market research exercise' by Consumer Intelligence. The research was carried out on 15 March 2018 and the research sample consisted of 1,082 consumers aged 40 and above.

Click on to read the key conclusions from the questions asked to advisers.

Keep your eyes on our website for the consumer results later.

What are the biggest areas of concern for your business in 2018/19? (Part 1)

ARegulatory change/challenge77%

BInvestment volatility59%

CPolitical volatility47%

DCapacity/resources28%

EProfessional indemnity cover18%

FRecruitment of advisers/paraplanners12%

What are the biggest areas of concern for your business in 2018/19? (Part 2)

AInsistent clients11%

BVulnerable clients7%

CCompetition for your business from others7%

DDeveloping new paraplanners/advisers6%

ECapital for the development of your business2%

FOther4%

What do you think is the biggest risk of doing DB transfer advice? (Part 1)

ARisk of future client complaints 29%

BWe do not do DB transfer advice24%

CRisk in change of regulatory view from FCA16%

DRisk of client's family seeking compensation10%

What do you think is the biggest risk of doing DB transfer advice? (Part 2)

AMis-selling by minority affecting my FSCS levy7%

BLack of PI insurance4%

CClient has made up his/her mind before seeing me3%

DOther6%

What do providers need to focus on to be successful with advisers in the pension freedoms market? (Part 1)

AService delivery standards58%

BRange of product/fund solutions54%

CFinancial strength/sustainability48%

DDigital/online capability 45%

ETechnical support on tax and pensions33%

FRange of retirement planning tools 14%

What do providers need to focus on to be successful with advisers in the pension freedoms market? (Part 2)

ASales support11%

BInnovation10%

CBrand6%

DCyber/data security6%

EAssistance with tools/information for DB transfer4%

What do providers need to focus on to be successful with advisers in the pension freedoms market? (Part 3)

AField salesforce3%

BScale0%

COther2%

Which type of providers will flourish in the pensions and retirement market? (Part 1)

APlatform operators81%

BSipp operators52%

CDiscretionary fund managers30%

DLife companies29%

EAsset/fund managers25%

FSpecialist tax product providers (BPR/EIS etc)18%

Which type of providers will flourish in the pensions and retirement market? (Part 2)

ATechnology players15%

BFriendly societies and mutual insurers5%

CBanks/building societies 4%

DRobo-advisers4%

ENew market entrants4%

FOther 4%

How happy are you with the level of innovation from the market in response to the pension freedoms? (Part 1)

AI am not at all happy with the level of innovation3%

BI am moderately unhappy with the level of innovation19%

CIt has been satisfactory58%

DI am moderately impressed 16%

How happy are you with the level of innovation from the market in response to the pension freedoms? (Part 2)

AI am extremely impressed with the level of innovation3%

BI don't know1%

CUnhappy overall22%

DHappy overall 18%

Where would you most like to see further development in the retirement market during 2018/19? (Part 1)

ADrawdown products46%

BGuaranteed capital/income solutions31%

CCost of products/fund/portfolios22%

DDigital/online capability and functionality 25%

EValue of products/funds/portfolios24%

FLong-term care products20%

Where would you most like to see further development in the retirement market during 2018/19? (Part 2)

AAnnuity products18%

BInheritance tax products16%

CInvestment funds/portfolios15%

DPlatform income solutions14%

ERetirement planning tools 14%

FTransparency of terms and conditions11%

Where would you most like to see further development in the retirement market during 2018/19? (Part 3)

ARegulation8%

BEquity release products7%

CRobo-advice solutions3%

DNew market entrants1%

EOther2%

What is your approach to constructing drawdown investment portfolios for clients?

APortfolio construction/management is done in house44%

BPortfolio construction/management is outsourced25%

CCombination of both31%

What is your approach to constructing drawdown investment portfolios when you at least partly outsource the service? (Part 1)

AMulti-asset funds53%

BDiscretionary fund managers42%

CManaged portfolio services37%

DMulti-manager funds35%

ERisk rated funds32%

FRisk targeted funds31%

What is your approach to constructing drawdown investment portfolios when you at least partly outsource the service? (Part 2)

We use cookies to give you the best experience on our website. You can continue to use the website and we'll assume that you are happy to receive cookies. If you would like to, you can find out more about cookies and managing them at any time here. This site is for Professional Investors only, please read our Risk Disclosure Notice for Citywire’s general investment warnings

We use cookies to improve your experience. By your continued use of this site you accept such use. To change your settings please see our policy.